Exhibit 8-17 Marginal revenue and cost per unit curves
-In Exhibit 8-17, if the price of the firm's product is $20 per unit, the firm will produce:

Question

Exhibit 8-17 Marginal revenue and cost per unit curves 
-In Exhibit 8-17, if the price of the firm's product is $20 per unit, the firm will produce:

Quizplus · Accepted Answer

The firm will produce where marginal cost equals marginal revenue (price). If the price is $20, the firm will produce the quantity where the marginal cost is also $20, which is typically given in the exhibit or cost schedule.

Exhibit 8-17 Marginal Revenue and Cost Per Unit Curves